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Replacing boiler with hot air furnace??

I need to upgrade the HVAC system in my house because the old AC is dead. The current system uses a Peerless gas boiler (manufactured in 1991). The hot water is then piped into the room next door where the air handler/AC coil/heating coil is located.

One contractor suggests replacing the entire system with a gas hot air furnace with an integrated AC coil. This would do away with the boiler.

Another contractor suggests replacing the boiler with another boiler, and he says that the trend is to go towards boiler systems.

What are the pros and cons of going from a boiler system to hot air system?

Two complications:

1. My wife wants "infinite" hot water because so the whole family (all 7 of us) can take baths without waiting for the water to heat up. The boiler contractor suggests linking the boiler system with the hot water supply. The hot air contractor suggests adding a tankless water heater.

2. The house used to have radiant heat in the basement, but it was disconnected before 1991. It would be nice to have radiant heat down there again, but I don't know if I want to spend the bucks on it.

Boiler longevity

Your "old" boiler probably has as much life left in it as it has already given. Boilers, when properly sized and the proper radiation is provided give the best, most even heat. Is your boiler dedicated to a hot water coil for heating or do you have some radiators or baseboard heat as well?

One thing to keep in mind with the gas prices rising if you do go with another boiler you have the option in the future to use solar heat in conjunction with your boiler and hot water heater. Nothings better then free heat, right?